ECONOMIC OVERVIEW Global economy
The global economy is undergoing tough times due to ongoing geopolitical issues and
global supply chain tailbacks. Other factors affecting the global economy are inflationary
trends especially in US, which has ebbed in recent months of 2023 and recessionary trends
in Europe. The global economy is estimated to grow by 3.5% during 2022 against projected
growth of 3.2%. The advance economies are estimated to grow by 2.7% against projected
growth of 2.5% while growth of emerging markets and developing countries is estimated at
4.0 % against projections of 3.6%. The global economy is projected to grow by 3% in 2023.
Advanced economies are projected to grow at 1.5 % while emerging markets and developing
economies are projected to grow at 4% in 2023. In 2024, emerging markets and developing
countries are projected to grow at 4.1 % while advance countries growth is projected at
1.4% and global economy is protected to grow by 3.0%. Source: International Monetary Fund,
July, 2023.
Indian economy
7.2%
Indias GDP growth in 2022-23
Notwithstanding the global gloomy outlook, Indias economic activity has been robust on
the back of a conducive domestic policy environment and the Governments sustained focus
on structural reforms. Owing to its strong macroeconomic fundamentals, the Indian economy
is estimated to grow by 7.2% in FY 2022-23. Source: NSO, Provisional estimate of national
income 2022-23
A combination of rising disposable income coupled with the easy availability of credit
and stabilizing inflation trajectory will bode well for the domestic economys growth,
however higher interest rates are a matter of concern. The Indian economy is expected to
grow by 6.5% during 2023-24, as RBI press release dated 8th June, 2023.
INDUSTRY OVERVIEW Global Industry
The global industrial pumps market was valued at USD 69.85 billion in 2021 and is
expected to grow at a CAGR of 6.3% during the forecast period upto 2030. Increasing
investments in the oil & gas sector, technological advancements in pump manufacturing,
and new product launches focusing on enhanced performance are expected to have a positive
impact on the market.
Increasing investments in the exploration and production activities by the oil &
gas companies across the globe are anticipated to boost the demand for pumps in the oil
& gas industry. The rising number of infrastructure upgrades, in terms of changing or
the installation of new pipelines, is expected to have a positive impact on the market.
The advancements in pump technology have resulted in enhanced basic process tasks,
increasing the reliability of the pumps, and providing a long-term reduction in everyday
operating processes. These advanced pumps are mostly used in industries, such as
industrial wastewater, agriculture, power, and chemicals.
Manufacturers are also focusing on new product launches keeping in mind the dynamic
requirement of the market. However, new energy efficiency standards that are to be
incorporated may require redesigning of pumps by manufacturers, which may incur high costs
and time, thereby restraining the market growth.
Product Type Insights
The centrifugal pump segment led the market in 2020 and accounted for 52% of the global
revenue share. Centrifugal pumps are used for higher flows and hence, are extensively used
in the chemical industry. These are preferred for low-pressure and high- capacity pumping
applications of liquids with viscosities ranging between 0.1 and 200 cP.
The demand for positive displacement pumps is estimated to witness growth at the
fastest CAGR of 3.4%, in terms of revenue, from 2020 to 2028 owing to their efficient
working at lower speed and consistent flow rates. Moreover, the preference for positive
displacement pumps in the oil & gas industry is likely to complement segment growth.
Manufacturers are using technology to their advantage by developing innovative pumping
solutions. New products are equipped with precision control and efficiency using
electronic sensors and other digital software. Moreover, the suitability of reciprocating
pumps in pumping hazardous fluids is likely to boost the product demand.
Application Insights
The agriculture application led the market in 2020 with a revenue share of more than
25%. Technological advancements in the field of irrigation and farming, especially in
emerging countries, coupled with the rising usage of pumps for several purposes in the
agriculture segment, such as irrigation, dewatering of crops, reuse, are likely to boost
the growth. The construction segment is also estimated to witness significant growth from
2020 to 2028. The rapid development of housing complexes and commercial buildings in prime
cities would require proper systems for water availability, disposal of sewage, and
treatment of wastewater. Moreover, heavy investments in public infrastructures, such as
offices, hospitals, and housing societies, are expected to boost the demand for pumps in
the construction industry.
The demand for pumps in water & wastewater applications is expected to grow at a
CAGR of 3.6% from 2020 to 2028. The increasing requirement of pump stations in wastewater
treatment plants, where gravity flow is not feasible, coupled with high flow rate
deliverability and high transmission velocity is likely to augment the market growth.
Increasing utilization of shale gas in the energy and manufacturing industries and growing
shale gas exploration activities due to technological advancements, such as horizontal and
hydraulic drilling, are anticipated to boost the product demand in the oil & gas
sector. Furthermore, the penetration of petrochemical products in modern energy systems,
such as wind turbine blades, solar panels, batteries, and Electric Vehicle (EV) parts, is
expected to drive the market growth.
Regional Insights
The pumps market in the Asia Pacific region is expected to witness significant growth
over the forecast period upto 2030 on account of the rapid industrialization in the
developing economies of Asia Pacific and rising investments in manufacturing, commercial,
and industrial projects have contributed to the overall growth of the regional market.
Furthermore, increased product penetration in various end-use industries including
agriculture and petrochemical is anticipated to complement market growth.
China is anticipated to be driven by the growing investments in chemical,
petrochemical, and construction industries. In addition, several chemical and
petrochemical multinational companies are expected to open new manufacturing plants in
China owing to the favourable government policies. As more companies look into capacity
expansion in China, the demand for pumps in the country is expected to grow.
Rising offshore exploration and production activities in Europe are anticipated to fuel
demand for pumps, over the projected period. Stringent regulations intended to reduce
residential water pollution are anticipated to have a significant influence on raising the
demand for water treatment in the municipal and industrial sectors. It is anticipated that
rising household use of municipal facilities for water and wastewater treatment will have
a significant impact on the market. This scenario is anticipated to increase the
consumption of centrifugal, rotary, and reciprocating pumps in the region over the
forecast period
The growing construction sector, along with the imposition of stringent government
regulations in Germany to restrict the discharge of untreated water into water reservoirs,
is expected to drive the growth of water & wastewater treatment plants, thereby
benefiting the pumps market during the forecast period.
Indian industry
16% of Indias pump manufacturing potential is export-oriented and is projected to
expand further.
Positive displacement pumps market comprises of 5% to the total pump market. These
pumps are widely used water and wastewater, chemical, oil and gas, and power generation.
With the increase in the refining capacity, the demand for positive displacement pumps is
likely to increase. Moreover, the technological development, which has rendered deep-water
and ultra-deep-water exploration feasible and cost-effective, and is expected to increase
oil production over the forecast period. It can provide an opportunity for market growth
during the forecast period. Oil and gas sector is expected to witness significant growth
in terms of industrial pump deployment mainly due to declining production from existing
oil and gas fields combined with increasing investments in the midstream and downstream
oil and gas sectors.
Competitive pricing and manufacturing capabilities are major factors boosting growth in
the pump market in India. Top end- user industries in the India pump market include water
and waste manufacturing, electricity generation, oil and gas, metals, and mining.
The introduction of intelligent pump systems with smart track and control fluid flow or
pressure, responds to process adjustments, and which have failure tolerance features will
reduce the total cost of ownership, creating lucrative opportunities for manufacturers in
the market. The increased focus on after-sales services will enable vendors to maintain a
long-term relationship with the customers in the India pump market. Indian firms are
constantly searching for strategic alliances to reach global markets through technological
collaborations and to also provide high-quality products in the Indian market.
FINANCIAL STATEMENTS
The financial statements of your Company have been prepared in compliance with the
requirement of the Companies Act, 2013 and the applicable new Indian Accounting Standards
(Ind-AS) notified by the Ministry of Corporate Affairs. There is no material departure
from the prescribed accounting standards in adoption of the accounting standards. The
Management of Roto accepts responsibility for the integrity and objectivity of these
financial statements, as well as for various estimates, provisions and judgments used
therein, which have been made on prudent and rational basis in order to reflect a true and
fair view of the affairs of your Company.
Resources allocation:
Non-current assets
Non-current assets of your Company at 31st March, 2023 have been
Rs.12,032.61 lakhs against Rs.8,656.61 lakhs as at 31st March, 2022.
Composition of non-current assets has been as under-
Indias pump market size was valued at USD 2.2 billion in 2020 and is expected to reach
USD 3.3 billion in 2026, growing at a compound annual growth rate (CAGR) of 7% during
2020-2026.
Property, plant and equipment
Property, plant and equipment of your Company as at 31st March, 2023 have
been Rs.4,938.18 lakhs as against Rs.3,247.38 lakhs on 31st March, 2022,
representing a net increase of 52.06%. The net increase in property plant and equipment
has been mainly due to addition in plant & machinery.
Capital work-in-progress
Capital work-in-progress of your Company as at 31st March, 2023 has been
Rs.2,073.40 lakhs as against Rs.732.14 lakhs on 31st March, 2022. This
comprises of factory building under construction.
Right-of-use assets
Right-of-use assets of your Company as at 31st March, 2023 has been
Rs.2,851.88 lakhs as against Rs.2,922.24 lakhs on 31st March 2022. The net
decrease is due to amortization during the year.
Other intangible assets
Other intangible assets of your Company comprises of computer software, technical
drawings, trademarks and patent. Other intangible assets of the Company as at 31st
March, 2023 have been Rs.170.72 lakhs against Rs.35.56 lakhs at 31st March,
2022. The net increase has been on account of capitalization of SAP software.
Investment in subsidiaries
Investment in subsidiaries of your Company as at 31st March 2023 has been
Rs.1,850.17 lakhs against Rs.1560.17 as on 31st March, 2022. The increase in
investment has been on account of investment of Rs.290 lakhs in Roto Energy Systems
Limited, a wholly owned subsidiary in India.
Deferred tax assets (net)
Deferred tax assets (net) of your Company as on 31st March 2023 have been
Rs.98.26 lakhs against Rs.109.12 lakhs as at 31st March, 2022. The net decrease
has been mainly due to higher addition of plant & machinery resulting in higher
depreciation under the Companies Act due to higher depreciation rates as compared to
depreciation rate under Income Tax.
Current assets
Total current assets of your Company as at 31st March, 2023 have been
Rs.15,033.28 lakhs against Rs. 12,520.88 lakhs as at 31st March 2022.
Composition of current assets as on 31st March, 2023 compared to 31st
March 2022 is as under:
Inventories
Inventories of your Company as at 31st March 2023 have been Rs.3,880.86
lakhs against Rs.3,152.83 lakhs as at 31st March, 2022 representing an increase
of 23.09%. The increase in inventory has been mainly to support the increased sales.
Financial assets
Financial assets comprise of trade receivables, cash & cash equivalents, other bank
balances, loans and other financial assets. Financial assets of your Company as at 31st
March 2023 have been Rs.8,474.79 lakhs against Rs.7,369.51 lakhs as at 31st
March, 2022 representing an increase of 15%. The net increase in financial assets has been
mainly on account of increase in trade receivables, cash & cash equivalents, and
loans. Increase in trade receivable has been mainly due higher sales and cash & cash
equivalents increased on account of higher term deposits and remittance in transit, while
increase in loans has been on account of loan to wholly-owned subsidiary companies.
Other current assets
Other current assets of your Company as at 31st March 2023 have been
Rs.2,677.63 lakhs against Rs.1,998.54 lakhs as at 31st March, 2022. The net
increase in other current assets has been mainly due to higher deposit balances with GST
authorities.
Resources:
Equity
Total equity of your Company as at 31st March, 2023 has been Rs.16,572.38
lakhs as compared to Rs.14,014.12 lakhs as at 31st March, 2022 representing a
net increase of 18.25 %. Composition of equity as on 31st March, 2023 as
compared to at 31st March, 2022 is as under:
Share capital
Share capital of your Company as at 31st March, 2023 were Rs.314.08 lakhs as
compared to Rs.314.08 as at 31st March, 2022. There has been no change in share
capital during the year.
Other equity
Other equity of your Company comprises of securities premium, general reserve and
retained earnings, which has been Rs.16,258.30 lakhs as at 31st March, 2023
against Rs.13,700.04 lakhs as at 31st March, 2022. The increase in other equity
has been on account of profit for the year retained after distribution of dividend.
Non-current liabilities
Non-current liabilities of your Company as at 31st March, 2023 were
Rs.1,461.42 lakhs as compared to Rs.1,605.26 lakhs as at 31st March, 2022.
Composition of non-current liabilities as on 31st March, 2023 as compared to at
31st March, 2022 is as under:
Provisions
Provisions comprises those for employee benefits. As at 31st March, 2023 it
stood at Rs.83.86 lakhs against Rs.4.90 lakhs as at 31st March, 2022.
Current Liabilities
Current liabilities as at 31st March, 2023 were Rs.9,032.09 lakhs as
compared to Rs.5,558.11 lakhs as at 31st March, 2022. The composition of
current liabilities as at 31st March, 2023 compared to as at 31st
March, 2022 is as under:
Financial liabilities
Financial liabilities of your Company comprises of short-term borrowings, trade
payables and other financial liabilities and stood at Rs.5,769.28 lakhs as at 31st
March, 2023 against Rs.2,925.02 lakhs as at 31st March, 2022. The net increase
has been mainly due to increase in utilisation of working capital limits from banks and
trade payables which has been due to increase in operations.
Other current liabilities
Other current liabilities of your Company comprises of creditors for capital goods,
advances from customers, taxes payable and dividend payable have been Rs.2,095.77 lakhs as
at 31st March, 2023 against Rs.1,479.82 lakhs as at 31st March,
2022. The net increase has been mainly due to higher advances received from customers.
Provisions
Provisions comprise of short-term provisions for employee benefits, warranty and other
provisions and stood at Rs.127.88 lakhs as at 31st March, 2023 against
Rs.151.02 lakhs as at 31st March, 2022.
Current tax liabilities
Financial liabilities
Financial liabilities of your Company comprises of long-term borrowings and lease
liabilities, as at 31st March, 2023, the financial liabilities have been
Rs.13,77.56 lakhs against Rs.1,600.36 lakhs as at 31st March, 2022. The
increase in borrowings has been due to vehicle loans availed during the year. The decrease
in lease liabilities has been on account of payment of lease liabilities during the year.
Provisions have been increased due to provision for unfunded balance of gratuity and leave
liability during the year.
Current tax liabilities (net) of your Company comprises of provisions for income tax,
which stood at Rs.1,039.16 lakhs as at 31st March, 2023 against Rs.1,002.25
lakhs as at 31st March, 2022.
The management believes that your Companys liquidity and capital resources would be
adequate to meet its expected working capital needs and other anticipated cash
requirements.
FINANCIAL AND OPERATIONAL PERFORMANCE
The principal source of the Companys revenue is from the sale of pumps, spares and
retrofit parts. Your Company has a rich heritage of designing and manufacturing superior
products
and technologies. Your Company offers a comprehensive range of Progressive Cavity Pumps
(PCP), Twin Screws Pumps and also added other PD pumps in its product portfolio, such as
AODD and gear pumps. These products cater to a large spectrum of industries covering
various industrial and municipal applications. Aligned with its vision, your Company is
transforming into a fluid equipment solution provider.
Sale of pumps during the year has been Rs.9,219.29 lakhs as compared to Rs.7,282.35
lakhs during the previous year, while sale of spares has been Rs.9,675.35 lakhs as
compared to Rs.7,730.95 lakhs during the previous year. Service income has been Rs.29.55
lakhs against Rs.16.95 lakhs during the previous year. Other operating revenue mainly
comprises of sale of scrap materials has been Rs.140.91 lakhs against Rs.129.67 lakhs
during the previous year.
During the financial year 2022-23, your Companys financial and operational performance
as compared to the previous financial year 2021-22 has been as under:
Your Companys total income during the year 2022-23 has been Rs.19,492.53 lakhs as
compared to Rs.15,578.03 lakhs during the year 2021-22, which represents an increase of
25.13%. Revenue from operations during the year has been Rs.19,065.60 lakhs as compared to
Rs.15,159.91 lakhs during the previous year, exhibiting an increase of 25.76% over the
prior year. Increase in revenue from operations has been on account of efficient
utilization of THE Companys marketing infrastructure in domestic and international
markets. Other income during the year has been Rs.426.93 lakhs as compared to Rs.418.12
lakhs during the previous year.
Your Company recorded a profit after tax of Rs. 3,027.69 lakhs during 2022-23, against
Rs.2,624.67 lakhs in 2021-22. Profit after tax has been higher mainly due to increased
revenue and better cost control.
Revenue from operations
Your Companys income from operations comprises of domestic sales and exports sales.
Revenue from operations during the year has been Rs.19,065.60 lakhs as compared to
Rs.15,159.91 lakhs during the prior year. Revenue from operations product-wise viz. Pumps,
Spares and Service Income is as under:
Composition of domestic and export sales during the financial year 2022-23 as compared
to the previous financial year 2021-22 is as under:
? Export sales ? Domestic
Sales Domestic sales
Domestic sales during the year have been recorded at Rs.6,502.52 lakhs against
Rs.5,115.65 lakhs, which represents an increase of 27.11%. Composition of domestic sales
during the year as compared to the previous year is as under:
Revenue from sale of pumps during the year was Rs.3,660.34 lakhs against Rs.2,670.70
lakhs during the prior year. Sale of spares during the year has been Rs.2,679.25 lakhs,
against Rs.2,307.03 lakhs during the prior year. Service income during the year has been
Rs.22.02 lakhs against Rs.8.25 lakhs during the previous year. Other operating revenue
mainly comprises of income from sales of scrap and wastage has been Rs.140.91 lakhs as
compared to Rs.129.67 lakhs during the prior year.
Export sales Export sales by product
Exports sales during the year stood at Rs.12,563.08 lakhs, against Rs.10,044.27 lakhs
during the previous year, which represents an increase of 25.08%. Composition of export
sales during the year as compared to the previous year is as under:
Revenue from sale of pumps during the year was Rs.5,559.45 lakhs against Rs.4,611.65
lakhs during the previous year. Sales of spares during the year have been Rs.6,996.10
lakhs, vs. Rs.5,423.92 lakhs during the previous year. Service income during the year has
been Rs.7.53 lakhs against Rs.8.70 lakhs during the previous year.
Export sales by centers
Your Company executes exports sales from three centers:
• Direct export from India
• Sales from warehouse and marketing offices in Australia
• Sales from the United Kingdom branch
Export sales from these centers during the year is as under:
Direct export
Direct export sales during the year stood at Rs.5,883.81 lakhs, against Rs.4,489.55
lakhs in the prior year which represents an increase of 31.06%.
Sales from Australia Branch
Sales from Australia have been Rs.3,151.73 lakhs, as compared to Rs.2,720.35 lakhs
during the previous year, which has been higher by 15.82%.
Sales from UK Branch
Sales from United Kingdom have been Rs. 3520.02 lakhs against Rs. 2834.37 lakhs during
the previous year, which has been higher by 24.19%.
KEY FINANCIAL RATIOS
Key financial ratios for the financial year 2022-23 as compared to the previous
financial year have been as under. Clarifications on the changes are also given.
Particulars |
2022-23 |
2021-22 |
Change in % |
Clarification in change in is more
that 25% |
Debtors turnover (days) |
90 |
92 |
2.22 |
Slight improvement |
Inventory turnover (days) |
68 |
93 |
-25.81 |
Higher sales during the year |
Interest coverage ratio (times) |
22 |
48 |
-54.16 |
Increased utilization of working capital
facilities |
Current ratio (times) |
1.66 |
2.25 |
26.22 |
Increase in utilization of working
capital facilities |
Debt equity ratio (times) |
0.23 |
0.10 |
130 |
Increase in utilization of Working
Capital Limit and Term Loans taken during the year. |
Operation profit margin (%) |
27.13 |
27.93 |
-23.86 |
Slightly lower due to marginally higher
material consumption |
Net profit Margin (%) |
15.77 |
16.91 |
-6.74 |
Reduced marginally due to higher expenses |
Net worth - Rs. in Cr |
165.72 |
140.14 |
18.25 |
Increased on account of retained profit
during the year |
Return on net worth (%) |
19.80 |
18.30 |
8.19 |
Due to marginally lower profit |
HEALTH, SAFETY AND ENVIRONMENT
20%
Companys energy requirements met from renewable sources
Your Company continues to comply with Occupational Health & Safety Management
System ISO 14001:2004 and endeavors to improve on the culture of safe working environment.
The Company has installed base of solar power of 400 KWp and further scaling upto 900 KWp.
20% energy requirement is met form solar power. Similarly, good health has been the
foremost priority of the Company. Indoor and outdoor health checkup camps have been
organized from time to time as a preventive healthcare measure. There have been no
material incidents during the year under review. Your companys Manufacturing facilities
are zero discharge.
OPPORTUNITIES AND THREATS Opportunities
During the year under review, there have been major mergers and acquisitions, in pump
industry globally. This coupled with China+1 strategy is having significant changes in
Global supply chain. Your Company has taken advantage arising from such changes and has
increased its focus on key sectors such as waste water treatment, oil & gas, biogas
and general industries.
On domestic front, with Indian economy continuing to grow fastest amongst major Global
economies, there are several opportunities across the Board for the Company to leverage
its performance. Your Company is stretegically placed and enjoys preferable choice of
brand in its line of products.
Your Companys imitative in the field of oil & gas viz. downhole pumps and mud
motors would provide opportunities under Atam Nirbhar Bahrat and also in Global Markets.
The other initiative under renewal energy i.e. solar pumping system would provide
tremendous business opportunities due to Governments focus on usage of alternate energy
sources to mitigate climate changes coupled with the escalating Energy prices due
geopolitical issues would lead to increased focus on renewal energy thereby increasing
opportunities for Companys solar pumping project.
Threats
On global front, geopolitical issues and high inflationary trends such as high fuel
prices, food shortages, are leading to lower spending resulting in lower economic
activities pose threats in terms of demand reduction etc.. On domestic front, economic
scenario seems to be conducive, which is attracting entry of major global players into the
market and increased activities from local players which would result in increased
completion.
RISK AND CONCERNS
Present geo-political and economic issues are major concerns. On geo-political front,
war between Russia and Ukraine has disrupted Global supply chain system and Chinese
aggression in South China Sea and Taiwan in recent times adding fuel to already critical
geo
political issues. These are adversely affecting the global economic growth. On the
economic front, inflationary trends in Europe and US are a matter of concern, however in
recent months inflation in US reflected easing trends.
Currency fluctuation are worsening the fiscal deficit of net importing Countries like
India. This also affects inflation adversely.
Your Company operates in all the major Countries, any adverse geo-political and
economic development would adversely affect operations and performance of the Company.
Global disruptions, emerging trade patterns and evolving environmental &
sustainability policies, etc. could influence business decisions and market footprint. The
aim is to protect and enable business to generate value.
INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
Your Company has an adequate system of internal controls implemented by the management
towards achieving higher efficiency in all areas of operations. These controls have been
designed to provide a reasonable assurance with regard to maintenance of proper accounting
controls, monitoring of operations, protecting assets from unauthorized use or losses,
compliance with regulations and for ensuring reliability of financial reporting.
Your Company has adopted SAP software to strengthen its controls and processes which
has been implemented in India Operations. It is under implementation at Overseas
Establishment within the current financial year. This would allow integration of multiple
locations on one platform and would bring tremendous synergy and improve overall
efficiency of the organization significantly.
The Audit Committee of the Board of Directors regularly reviews the adequacy of
internal controls and takes necessary corrective actions wherever required.
RESEARCH & DEVELOPMENT
Research & Development Centre of your Company had been recognized by the Department
of Scientific & Industrial Research, Ministry of Science & Technology, Government
of India. During the year, your company has incurred an amount of Rs. 233.72 lakhs towards
revenue expenses which constitutes 1.23% of the revenue from operations of the Company.
Previous year, it was Rs. 245.16 lakhs and Rs. 13.15 lakhs towards revenue expenses and
capital expenses, respectively, totaling to Rs. 245.16 lakhs, which constituted 1.70% of
the revenue from operation of the Company.
HUMAN RESOURCES & INDUSTRIAL RELATIONS
We believe that in order to sustain growth under competitive conditions, the Human
Capital of the Company should have high level of motivation and knowledge. The Company
continues to focus and invest in human resources development to provide an open work
culture and rewarding career opportunities to all its employees. During the year, your
Companys HR division successfully recruited 32 people (replacements as well as new
joining) in response to various business needs. Manpower strength as on 31.03.2023 was
417.
The overall employee relations were peaceful and harmonious throughout the year. The
Company continued to create conducive work environment with opportunities for growth and
learning, by implementing robust and comprehensive HR policies.
FUTURE OUTLOOK
Your Company would continue to focus on to increase its market share to achieve
significant growth in topline which would also result in better bottom-line. Your Company
has a strong manufacturing and marketing infrastructure with presence in five continents
besides strong Research & Development setup, experienced and motivated Manpower. Your
company has been focusing on MENA region and has made steady progress. Your Company has
setup a wholly owned subsidiary. This would enhance your Companys capabilities to service
the MENA region market more effectively.
Time ahead look challenging as Geo-political issues in Eurasia, higher inflation
especially on U.K., European Countries US are certain threats to Global economy, however
Domestic economy appears to be positive. Your Companys majority of revenue is generated
from exports, exchange rates fluctuations are a matter of concern.
Your Companys project of Downhole pumps for artificial lift and Mud Motors for
drilling of wells in Oil & Gas industry are schedule to become operations by end of
the third quarter of the current financial year. Other project of Solar pumping systems
undertaken in a wholly owned subsidiary would also become operational during the current
financial year. These ventures would lead towards your Companys vision to be among the
first five global Positive Displacement Pump manufacturer.
With highly diversified market, both in terms of geographical reach and the customer
base alongwith the enhanced focus to increase the market share coupled induction of new
products viz. Downhole pumps and mud motors for oil & gas industry, your Company would
withstand in turbulent times and improve its performance in terms of topline and
bottom-line as well.
CAUTIONARY STATEMENT
Statements in the Management Discussion Analysis describing the Companys objectives,
expectations or predictions may be forward looking within the meaning of applicable
securities law and regulations. Actual results may differ from those expressed in the
statement. Important factors that could influence the Companys operations include changes
in Government regulations, tax laws, economic development within and outside the Country
and such other factors.
|
For and on behalf of the Board of
Directors |
Place: Noida |
Harish Chandra Gupta |
Date: 11.08.2023 |
Chairman & Managing Director |
|
DIN: 00334405 |
+91-9892691696
